International travel medical insurance

When should employers provide international travel medical insurance to their employees that leave the country? In this post we will take a closer look at this issue.

The first thing employers should understand is U.S. medical plans are of little value when employees are outside the U.S. In fact, almost all "home country medical plans" are practically useless when employees travel internationally on business.

Because of the low cost of international travel medical plans, we believe that international blanket medical plans should be provided to any employer that has more than 10 employees traveling internationally, or any number of employees that spend more than 20 weeks in total abroad per year. Minimum premium won't be more than $2,000 annually.

International travel medical insurance is used to supplement the U.S. or home country plan while the employee is abroad. A typical plan design of an international group travel insurance plan may look something like this:

1. Major Medical Travel Insurance (global coverage): $100,000 benefit.
2. Medical Evacuation Benefit ($100,000 benefit) for international airlift
3. AD&D $50,000 over and above whatever the home country AD&D plan, or BTA provides.
4. Pre-existing conditions covered: No
5. Deductible: $100 then 100% thereafter
6. Coverage for U.S. outbound and foreign nationals inbound into the U.S. under the same program. If foreign nationals coming into the U.S. need additional insurance, these groups are sometimes split in two.
7. War-risk coverage. Perhaps, varies.

If employers have employees travelling to "safe countries" like Western Europe for example, employees can perhaps get by under the U.S. plan. However, for employees traveling to any country labeled the "third world," an international travel medical insurance plan is an essential. These plans are also absolutely essential for any foreign national leaving behind a national health insurance scheme.